QUBT vs. QBTS: Which Quantum Computing Stock Is the Better Pick Now?

Over the past year, shares of Quantum Computing Inc. QUBT or QCi and D-Wave Quantum QBTS have lost 3.4% and 8.9%, respectively, significantly outperforming the industry’s 16.3% decline. The primary challenges facing the quantum computing market are extreme physical fragility, massive error-correction overhead, prohibitive infrastructure costs and a severe global talent shortage.However, as the quantum computing industry continues its transition from a research frontier to real-world validation, different underlying technologies are emerging as potential winners. Given these positives, QCi’s revenues increased to $3.7 million from $39,000 in the first quarter, while D-Wave’s bookings were up 1,994% from the year-ago period’s level. It is time for investors to assess whether this momentum can extend through 2026. Let’s find out.Image Source: Zacks Investment ResearchThe Case for QUBTQCi is continuously investing in research and development (R&D) to strengthen its position in quantum photonics and scalable quantum computing. During the first quarter of 2026, the company expanded its engineering, scientific and technical workforces, contributing to a 133.5% year-over-year increase in research and development expenses.One of QCi's primary R&D initiatives is the development of the next version of its Dirac quantum optimization platform. QCi is also advancing its gate-based quantum computing program, which aims to create a scalable, room-temperature quantum computer using photonic technology. QCi’s recent acquisitions of Luminar Semiconductor and NuCrypt have significantly expanded its research talent base and technical capabilities, supporting a vertically integrated approach to quantum technology development.QCi exited the first quarter of 2026 with a strong balance sheet, providing the company with financial flexibility to carry out its growth strategy. Quantum Computing ended the quarter with cash, cash equivalents and investments of about $1.4 billion, demonstrating that the company maintained a substantial liquidity position. QCi’s financial strength is further reflected in its total assets of about $1.6 billion and stockholders' equity of approximately $1.6 billion. Total liabilities accounted for $23.4 million, much lower than the cash level.The Case for QBTSD-Wave continues to advance its annealing platform through Advantage2 and the Leap cloud service. Commercial momentum carried into the first quarter of 2026. The company’s sales opportunity pipeline and average potential deal size more than doubled versus the fourth quarter of 2025. It further expects two to three system deals per year with delivery of at least two systems in 2026.The company is extending its product set into gate-model computing following the Quantum Circuits acquisition in January 2026. It highlighted dual-rail qubits with built-in error detection and on-chip cryogenic control as key elements of its gate-model approach. Alongside this longer-dated gate-model roadmap, the company continues to add commercial annealing applications in production and expand research use cases, including work in quantum AI and blockchain benchmarking. At the end of the first quarter, cash and cash equivalents totaled $338.2 million and marketable investment securities amounted to $250.2 million. Operating cash outflow was $45 million, while investing cash outflow included $250.8 million of cash consideration for the Quantum Circuits acquisition. Even after that step-down, the balance sheet supports continued investment in R&D, sales coverage and system installations. Leap cloud utilization was below 50% entering 2026, which leaves capacity headroom and additional annealing systems can be installed within months at modest cost.Valuation: QUBT vs. QBTSQuantum Computing currently trades at a forward one-year price-to-sales (P/S) of 82.07X, much lower than its median. D-Wave’s 134.08X P/S also sits below its median. Image Source: Zacks Investment ResearchShort Term Price Target Favors QUBT Over QBTSQUBT: Based on short-term price targets offered by six analysts, the average price target of $18.33 represents an increase of 99.67% from the last closing price.Image Source: Zacks Investment ResearchQBTS: Based on short-term price targets offered by 13 analysts, the average price target of $38.31 represents an increase of 68.32% from the last closing price.Image Source: Zacks Investment ResearchEnd NoteBoth QCi and D-Wave Quantum are making meaningful investments to strengthen their positions in the rapidly evolving quantum computing industry but they are pursuing different strategies. QUBT is focused on building a vertically integrated photonics ecosystem supported by a sizable cash position to fund long-term research and product development. Meanwhile, QBTS benefits from stronger commercial traction. The company's growing sales pipeline, expected system deployments and expanding cloud business demonstrate increasing customer adoption. Also, a healthy balance sheet provides sufficient resources to continue investing in innovation and commercialization.For investors, QCi, currently carrying a Zacks Rank #2 (Buy), appears to be the stronger choice, given that it has outperformed D-Wave in the year-to-date period. QUBT is more attractively valued than QBTS. Investors who already own D-Wave, which carries a Zacks Rank #3 (Hold), may consider holding the stock for long-term gains. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Radical New Technology Could Hand Investors Huge GainsQuantum Computing is the next technological revolution, and it could be even more advanced than AI.While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.See Top Quantum Stocks Now >>This article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks